What is a Letter of Claim and How to React When You Get One?

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What Is A Letter Of Claim And How To React When You Get One?
The Courts in England and Wales have a set procedure which needs to be followed before the actual court case can begin. This protocol outlines that before a claim is filed against the defendant, a Letter Of Claim should be sent out by the potential claimant to the potential defendants. If you are planning on bringing a claim against another party, you need to send them a letter of claim first and foremost. Similarly, if you receive a letter of claim, it is a prior notice for you that you are about to face legal action against you.
What actually is a letter of claim?
A letter of claim in war terms is the first shot in a battle indicating that the enemy is on the gates and the battle is about to begin. A letter of claim is used by the claimant to warn and notify the defendant that an action against them is likely. The purpose behind the letter of claim is to allow parties to talk the matter out before dragging it towards litigation.
How should you react to a letter of claim?
There are different ways to respond to a letter of claim. Some of them include:
  • Asking for leave to reply
A letter of claim should not be ignored. It is important to give a reply to a letter of claim. If you are in the crunch of time, the prospective defendant can take a leave to reply, outlining the reasons why the response may be delayed.
  • Accept the claim and agree to pay what they are seeking
Once the claim is brought before the defendant and the accused in the case, you can either accept the claim and in your reply accept the claim and outline the method of payment and schedule.
  • Dispute the claim and prepare for court proceedings
If you don’t agree with the claim fully or partially, you can reply to the letter to dispute the claim and start to prepare for court proceedings.

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